NO Plastic Waste Management Institute JAPAN

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1 PWMI Newsletter NO Plastic Waste Management Institute JAPAN Plastic Products, Plastic Waste and Resource Recovery [2016] Background information and notes on the publication of the Flowchart of Plastic Products, Plastic Waste and Resource Recovery (2016) The following improvements and assessments were performed to improve the accuracy of the Flowchart of Plastic Products, Plastic Waste and Resource Recovery. (1) Revision of the model for product discharge by demand areas Post-use products discharge has been computed using domestic plastic input by demand area (annual usage quantities from 1976 on) and a model created by PWMI for product discharge by demand area. The discharge model used up to last year was created 20 years ago, and given the possibility that it was not reflecting actual conditions in recent years, we made some revisions and began to apply them as a new discharge model this fiscal year. In parallel with this study, we used new data to revise the domestic/industrial ratio obtained by dividing post-use products discharge into domestic and industrial by demand area and began to apply this new domestic/ industrial ratio this fiscal year. (2) Assessment of incineration with power generation of industrial Incineration with power generation of industrial has been estimated using a coefficient based on the results of questionnaires given once every five years to dischargers of. This time, we conducted separate interviews with resourcessaving business operators and confirmed the suitability of this estimation method.

2 2016 Highlights (1) production decreased somewhat by 100 kt (-1.0%) relative to On the other hand, domestic plastic products consumption increased by 160 kt (+1.7%). (2) Total plastic discharge decreased somewhat by 1 kt (-1.7%) relative to the previous year to 8,990 kt. Of this amount, effectively used plastic came to 7,590 kt resulting in an effective plastic utilization rate of 84%, a onepoint increase relative to the previous year. (3) The percentage contributions to the effective plastic utilization rate by mechanical recycling, feedstock recycling, and energy recovery were 23%, 4%, and 58%, respectively. This increase in the effective plastic utilization rate is attributed to a large increase in energy recovery as in the use of industrial plastic for densified-refuse derived fuel and cement material/fuel. (4) Exports of plastic for mechanical recycling continued to decrease falling to 1,380 kt (-70 kt; -4.9%). production for 2016 decreased somewhat from the previous year to 10,7 kt (-100 kt relative to 2015; -1.0%). In addition, resin export, resin import, and product import increased to 3,960 kt (+110 kt; +2.9%), 2660 kt (+190 kt; +7.5%), and 1,960 kt (+60 kt; +2.9%), respectively, while product export decreased somewhat to 780 kt (-20 kt; -1.8%). Domestic plastic products consumption increased to 9,800 kt (+160 kt; +1.7%). Total plastic discharge, however, decreased slightly relative to the previous year to 8,990 kt (-1 kt; -1.7%). This decrease can be attributed to revision of the discharge model as described above. This figure for total plastic discharge can be broken down into domestic (general) plastic and industrial plastic, with the former decreasing to 4,070 kt (-270 kt; -6.2%) and the latter increasing to 4,920 kt (+120 kt; +2.4%). This decrease and increase can be attributed to revision of the domestic/industrial ratio as described above. As for disposal and recovery methods, mechanical recycling increased to 2,060 kt (+10 kt; +0.4%), feedstock recycling was essentially unchanged at 360 kt (-0 kt; -0.7%), and energy recovery in total decreased to 5,170 kt (-40 kt; -0.8%). The effective plastic utilization rate showed little change at 7,590 kt (-40 kt; -0.5%). On the other hand, non-utilized plastic by incineration without power generation or heat utilization facility or by landfilling showed a large decrease to 1,400 kt (-120 kt; -7.6%). *1: feedstock recycling = blast/coke furnaces + gasification + liquefaction *2: energy recovery = densified-refuse derived fuel and cement material/fuel + incineration with power generation + incineration with heat utilization facility Explanation of flowchart items (1) production, resin processing, and marketing of products 1-1 production This figure was prepared by the Ministry of Economy, Trade and Industry (METI) on the basis of chemical-industry statistics. 1-2 Reclaimed products For convenience sake, the figure used here is that of mechanical recycling at the previous year taking figures for export and import of plastic into account (Ministry of Finance, trade statistics). 1-3 Domestic plastic products consumption (domestic plastic products consumption) = (resin production) {(resin export) (resin import)} (liquid resin, etc.) {(resin processing ) (reclaimed products)} {(product export) (product import)} export and import figures are based on trade statistics from the Ministry of Finance. Figures for liquid resin, synthetic fiber, etc. that fall outside plastic discharge are based on chemical-industry statistics from METI. Figures for plastic product export and import are based on trade statistics from the Ministry of Finance. Figure for resin processing is discharged from the processing step that is not turned into products. 1-4 Domestic plastic input (domestic plastic input) = (domestic plastic products consumption) {(exported plastic parts from assembled products) (imported plastic parts from assembled products)} 2

3 Assembled products: automobiles, home appliances (televisions, refrigerators, freezers, air conditioners, washing machines and dryers) Number of exported/imported assembled products: Automobile figures are based on Monthly Motor Vehicle Statistics of Japan from Japan Automobile Manufacturers Association (JAMA); home appliance figures are based on Current Production Statistics from METI. (2) Discharge 2-1 Post-use products discharge This figure is calculated by an estimation system developed by PWMI based on input by demand-generating fields and by resin type (usage quantities have been calculated annually from 1976) and on product lifetimes by demand-generating fields (using a 2017 PWMI 100-year discharge model). Since the export of used automobiles affects the amount of plastic in Japan, corrections are made to plastic discharge in the transport industry. Here, the number of used automobiles is based on number of post-use automobiles issued by JAMA and the number of exported used automobiles is based on data released by Japan Automobile Dealers Association. Discharge ratios for domestic and industrial have been estimated using a 2017 PWMI discharge model by demand-generating fields. 2-2 Production and processing discharge Amount of resin production is not included in amount of resin production, and amount of resin production and amount of resin processing are estimated using each predefined ratio. 2-3 Total plastic discharge (total plastic discharge) = (post-use products discharge) + (resin production ) + (resin processing ) 2-4 Breakdown of total plastic discharge by resin type These breakdown figures were estimated from amounts of postuse products discharge, production and processing discharge, resin production, etc. (3) Disposal and recovery 3-1 Mechanical recycling Figures for the mechanical recycling of domestic plastic are based on the weight of collected PET bottles (The Council for PET Bottle Recycling) and weight of collected white trays (Japan Plastic Food Container Industry Association), and figures for the mechanical recycling of other plastic containers and packaging are based on data released by The Japan Containers And Packaging Recycling Association. Residual amounts after the mechanical recycling of other plastic containers and packaging will be allocated to densified-refuse derived fuel and other items using as coefficients figures released by The Japan Containers and Packaging Recycling Association. Total figures and breakdowns for the mechanical recycling of industrial are extrapolated from the results of questionnaires sent to recycling companies. Production and processing are taken to be the total of mechanical recycling. Recycled material indicates pellets, flakes, fluff, blocks, and ingots, while recycled products refer to film sheets, stakes, pipes, etc. other than the above. The export figure under destination of recycling use for mechanical recycling is based on scrap plastic statistics from Ministry of Finance trade figures. 3-2 Densified-refuse derived fuel, blast-furnace/coke-oven raw materials, gasification, liquefaction Figures for densified-refuse derived fuel includes plastic for power generation; figures for densified-refuse derived fuel and cement kiln fuel are based on the results of surveys targeting industry associations. With respect to domestic, figures for blast furnace raw materials, coke-oven chemical materials, gasification, and liquefaction approved as product recycling methods by the Containers and Packaging Recycling Law are based on data released by The Japan Containers And Packaging Recycling Association. With respect to industrial, these figures are based on the results of questionnaires. 3-3 Disposal and recovery of domestic Incineration/landfilling ratio This ratio is determined from the results of past PWMI surveys based on the FY2015 Nation Survey on the State of Discharge and Treatment of Municipal Solid Waste of the Ministry of the Environment. Incineration with power generation / incineration with heat utilization Incineration with power generation means incineration processing by an incinerator equipped with power-generation facilities and incineration with heat utilization means incineration processing by an incinerator that, while not equipped with power-generation facilities, has facilities for utilizing heat externally. The ratios shown are determined by PWMI surveys based on values released by the Ministry of the Environment. 3-4 Disposal and recovery of industrial Disposal and recovery of industrial is partially commissioned to local governments as business-related. The ratio of such processing by business operators to that commissioned to local governments is determined on the basis of PWMI surveys. The percentage breakdown of commissioned processing into incineration with power generation, incineration with heat utilization facility, incineration without power generation or heat utilization facility, and landfilling is based on figures for domestic processing. The incineration/landfilling ratio in the processing of industrial is based on the latest survey conducted by PWMI in fiscal year The energy recovery rate in incineration by power generation, etc. is taken to be the same as the results of previous surveys conducted by PWMI in fiscal years 2006/2008. Figures for incineration with power generation includes plastic traded for a price. PWMI Newsletter 3

4 Flowchart of plastic products, plastic and resource recovery 2016 [ Unit; kt(thousand tons)] production, resin processing, and marketing of products Discharge production 10,7 export 3,960 import 2,660 Domestic plastic products consumption 9,800 Domestic Plastic input 9,4 Use Post-use products discharge 8,270 Product export 780 Product import 1,960 Note 3 pl Liquid resin,etc. 810 processing 5 Production and Processing 720 Non-use Production and Processing discharge 720 Note 1 production 170 Reclaimed products 530 Note 2 Note 1: production does not include the quantity shown for resin production Note 2: The quantity shown this year for reclaimed products is based on that of mechanical recycling from the previous year (2,0 kt) excluding exported portion (1,4 kt) and the amount used for fiber from PET bottles (80 kt). Note 3: The figure for post-use products discharge is computed by a PWMI estimation system based on usage for different demand areas and different resin types (from 1976) and product lifetimes for different demand areas (100-years discharge model created by PWMI at 2017). Note 4: Some figures may not exactly match due to rounding. ❶ ❻ corresponds to the graph of next page. 4

5 Disposal and recovery Total astic discharge 8,990 Domestic 4,070 Industrial Domestic Mechanical recycling 680 Liquefaction, gasification, blast furnace 280 Densified-refuse derived fuel / cement material and fuel 2 Incineration with power generation 1,8 Incineration with heat utilization facility 2 Incineration without power generation or heat utilization facility 560 Landfilling 200 Industrial Mechanical recycling 1,380 Liquefaction, gasification, blast furnace 90 Densified-refuse derived fuel / cement material and fuel 1,310 Sum of Mechanical recycling 2,060 23% Incineration with power generation ,920 9% Non-utilized Incineration with plastic heat utilization facility Landfilling 540 1,400 Incineration without power % generation or heat utilization facility 7% 240 Landfilling 400 Liquefaction, gasification, blast furnace 360 4% Densified-refuse derived fuel / cement material and fuel 1,560 17% Incineration with power generation 2,810 31% Incineration with heat utilization facility 790 9% Incineration without power generation or heat utilization facility Utilized plastic 7,590 84% PWMI Newsletter 5

6 Details of flowchart elements(unit:kt(thousand tons)) ❶ Breakdown of resin production (10,7kt) by resin type Other thermoplastic resin 1, % Polystyrene (including SAN, ABS) 1, % Thermosetting resin % Thermoplastic resin 91.7% Polyvinylchloride 1,6 15.4% Polyethylene 2, % Polypropylene 2, % ❷ Breakdown of resin products by field (9,800kt) 5 5.6% Agriculture, forestry and fishery % Household articles,etc % Building materials 1,1 11.8% Transportation 1, % Electric and machinery 1, % Containers and packaging 4, % ❸ Breakdown of total plastic by field and resin type (8,990 kt) Production and processing % % Household articles,etc % Building materials % Post-use products 92.0% Electric and machinery 1, % Transportation % Agriculture,forestry and fishery % (by field) Containers and packaging 4, % Polyvinylchloride % 2, % Polystyrene (including SAN, ABS) 1, % Polyethylene 2, % Polypropylene 2, % (by resin type) ❹ Breakdown of domestic(general) by field (4,070 kt) Agriculture,forestry and fishery 0 0.0% Household articles,etc % Transportation0 0.0% % ❺ Breakdown of industrial by field (4,920 kt) Agriculture, forestry and fishery % % Production and processing % Electric and machinery 1, % Electric and machinery % Building materials 0 0.0% 6 Containers and packaging 3, % Household articles,etc % Transportation % Building materials % Containers and packaging %

7 ❻ Breakdown of mechanical recycling (2,060 kt) Breakdown of mechanical recycling resources and resin type Production and processing % Post-use products 1, % (containing 680 kt of post-use products from domestic ) PET resin in designated PET bottle % % Polypropylene % Polyvinylchloride % Polyethylene % Polystyrene (including SAN, ABS) % Breakdown of post-use products for mechanical recycling (1,340 kt) PET bottles Wrapping film Home electric-appliance housings, etc. Agricultural plastics Expanded polystyrene packing material, etc. Electric-wire covering material Containers and the like Automobile parts Pipes, etc. Expanded polystyrene trays Non-PET bottles [ thousand tons ] (by type of reclaimed products) (by destination of recycling use) Recycled products % Domestic % Recycled material 1, % Export 1, % Domestic Fiber(from PET bottles) % PWMI Newsletter 7

8 Plastics production and discharge Year production Domestic plastic products consumption Total plastic discharge Domestic Industrial kt year kt year kt year kt year % kt year % ,630 9,990 5,570 3, , ,030 9,790 8,840 4,430 4, ,660 10,810 9,090 4,5 4, ,210 11,360 9,490 4,780 4, ,910 10,200 9,840 4, , ,570 10,810 9,760 4,860 4, ,740 10,980 9,970 5, , ,880 10,960 10,160 5, , ,8 10,570 9,900 5, , ,980 11,010 10,010 5, , ,460 11,360 10,130 5, , ,510 11,590 10,060 5, , ,4 11,200 10,0 5, , ,6 11,030 9,940 5, , ,4 10,890 9,980 5,020 4, ,210 8,430 9,120 4, , ,700 9,700 9,4 4, , ,590 9,870 9,520 4,6 49 4, ,540 9,600 9,290 4, , ,600 9,660 9,400 4, , ,610 9,770 9,260 4, , ,860 9,640 9,1 4,3 48 4, ,7 9,800 8,990 4, ,

9 Change in Utilized Plastic Waste by Amount and Rate Over Time Year Total Plastic discharge (kt) 10,010 10,130 10,060 10,0 9,940 9,980 9,120 9,4 9,520 9,290 9,400 9,260 9,1 8,990 Utilization amount (kt) 5,410 5,7 5,820 6,880 6,920 7,330 6,890 7,230 7,440 7,440 7,670 7,680 7,630 7,590 Utilization rate(%)

10 Business Overview History Originally founded in December 1971 as the Plastic Management Research Association, the Plastic Waste Management Institute (PWMI) received its current name in July of the following year as operations expanded. For the last 40 years or so, PWMI has endeavored to research and develop technology for the optimal processing and effective use of plastic and to publicize its findings. In addition, PWMI has changed into a general incorporated association as a result of Laws Related to the Reform of the Public-Interest Corporations System (enacted in December 2008). As a result of this change, PWMI s objectives were newly established in April 2013 as surveying and researching the recycling of plastic and contributing to a reduction in environmental load by the total recycling of plastic, and helping plastic-related industries to expand their business soundly and contributing to the creation of a society capable of sustainable growth. application to carbon footprint systems, etc. It also works to solve technical issues so that the effective use of plastic can be evaluated by LCA. (2) Preparation of the Flowchart of Plastic Products, Plastic Waste and Resource Recovery and ongoing improvements to its accuracy PWMI strives to obtain a clear understanding of the entire lifecycle of plastic from its production stage to its disposal and R&R and to prepare and provide a highly accurate flowchart of this process. (3) Support of environmental education PWMI continues to hold instructor training courses and on-site classes and works to raise the level of consciousness in society regarding the usefulness of plastic. In addition to holding on-site classes on plastic R&R at primary and middle schools especially in Japan s Kanto region, PWMI will honor as much as possible requests for instructor training courses in line with new teaching guidelines and for lectures at universities specializing in environmental science. Trade organizations Japan Petrochemical Industry Association The Japan Plastics Industry Federation Vinyl Environmental Council Supporting members Japan PET Bottle Association Japan Expanded Polystyrene Association Japan PVC Environmental Affairs Council Directors Chairman: Tsutomu Tannowa Vice-Chairman: Mamoru Kadokura Executive Director: Hisao Ida Directors: 10 Auditors: 2 Organization General Meeting Board of Directors Auditors Steering Committee Committee on General Affairs Business Content (1)Survey and research the generation, recycling, and disposal of plastic and promote the appropriate use of plastic through various means including techniques for evaluating environmental load (2)Support the education and study of the recycling of plastic and plastic and engage in related public relations activities (3)Interface and collaborate with domestic and foreign institutions in the plastic and plastic- industries Activities The three core activities of PWMI are summarized below. (1) Provision of life cycle assessment (LCA) base data and LCA evaluation of recycling & recovery (R&R) technologies PWMI provides scientific and highreliability data for widespread use by related industries and general citizens for Members (as of January 2018) Regular members: 17 corporations and 3 organizations Supporting members: 3 organizations Regular members Asahi Kasei Corp. DuPont-Mitsui Polychemicals Co. Ltd. Japan Polyethylene Corporation Japan Polypropylene Corporation JNC Corporation Kaneka Corporation Maruzen Petrochemical Co., Ltd. NUC Corporation Prime Polymer Co., Ltd. Shin Dai-Ichi Vinyl Corporation Shin-Etsu Chemical Co., Ltd. Sumitomo Chemical Co., Ltd. SunAllomer Ltd. Taiyo Vinyl Corporation Tokuyama Sekisui Co., Ltd. Tosoh Corp. Ube-Maruzen Polyethylene Co., Ltd. Chairman Vice-Chairman Executive Director Secretary General Committee on Surveys and Research Committee on Public Relations and Educational Support Advisors General Affairs and Public Relations Department Surveys and Research Department Web site: Plastic Waste Management Institute KAYABACHO SQUARE BLDG.9F Nihonbashi-Kayabacho,Chuo-ku, Tokyo , Japan Tel: ~7, Fax: March

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